A 26,500-square-foot office building in Henrico County has sold for $1.95 million, Cushman & Wakefield | Thalhimer announced.
The building is located at 8921 Three Chopt Road and was 81% leased at the time of the sale.
Porter Street Holdings LLC bought the building from 8921 Three Chopt LLC.
The transaction was completed by Bo McKown of Cushman & Wakefield | Thalhimer’s Capital Markets Group, along with Reilly Marchant, also with Thalhimer.
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A two-story apartment building in Richmond’s Fan District has sold for $1.95 million, Commonwealth Commercial Partners LLC announced.
The 9,638-square-foot building is at 3-9 S. Brunswick St. has 12 one-,two- and three-bedroom garden apartments and 17 parking spaces. It is part of the Uptown Portfolio, buildings owned and developed by Eck Enterprises LLC.
Kit Tyler and Tucker “Nash” Warren negotiated the sale.
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A 2,844-square-foot building in Hanover County has sold for $1,095,000, Cushman & Wakefield | Thalhimer announced.
The building is on 1.5 acres at 8300 Bell Creek Road. 8300 Bell Creek LLC purchased the property from Atlantic Union Bank.
Will McGoogan of Cushman & Wakefield handled negotiations on behalf of the seller and Nicki Jessy and Pete Waldbauer, also with Thalhimer, represented the buyer.
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A 6,250-square-foot retail building has sold in Ashland for $1,005,000, Cushman & Wakefield | Thalhimer announced.
The building, on 2.5 acres at 809 England St., was sold by RWC Investments LLC to CFT NV Developments LLC. The buyer will open a Panda Express restaurant with a drive-thru.
Connie Jordan Nielsen and Alicia Brown of Cushman & Wakefield | Thalhimer sourced the opportunity and handled the sale negotiations on behalf of the buyer.
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Hampton Roads
Sparkle Car Wash Management & Hippo Car Wash purchased a 5,800-square-foot property on one acre for $1.825 million from BNT & NRJ Enterprises, LLC. The property is located at 519 Oyster Point Road in Newport News. Michael Allen of Harvey Lindsay Commercial Real Estate handled the transaction.
Send any Virginia commercial real estate transactions to Robyn Sidersky, [email protected], for coverage consideration.
Colliers has named a new regional operations manager for its Virginia and Raleigh, North Carolina, offices, the commercial real estate company announced this week.
Kristina Rodriguez, who will be based in Norfolk, will oversee the Colliers Virginia offices in Charlottesville, Fredericksburg, Richmond and Norfolk, along with the Raleigh office, and manage their brokerage division, including human resources, finance and information technology areas. She most recently worked in brokerage operations for a team in the Dallas office.
“I am honored to join the Virginia and Raleigh offices as the regional operations manager for brokerage,” Rodriguez said in a statement. “The knowledge and experience of the team is insurmountable, and I am eager to further develop the overall experience of Colliers professionals and clients while continuing to grow the company.”
Rodriguez co-founded an employee resource group for veterans, a program focused on providing opportunities in recruiting, mentoring, networking, and professional development for military veterans working at Colliers in North America.
She has more than 18 years of experience in commercial real estate and also served as a military police officer in the Army. She earned her bachelor’s from Louisiana State University.
An apartment complex in Norfolk and a townhouse community in Suffolk both sold this week, Colliers Virginia announced Friday.
Beamons Mill in Suffolk sold for $9.15 million. Photo courtesy Colliers Virginia
Beamons Mill Townhomes, at 224 Beamons Mill Trail in Suffolk, was sold by Outlier Realty Capital to The Apartment Gallery for $9.15 million. The 55-unit townhome community was built in the early 2000s. Each townhouse is an average of 1,307 square feet, and most have 2.5 bathrooms, washer and dryer hookups and private patios. It is at 100% occupancy.
Lighthouse Point, at 1349-1353 Bayville Street and 1403 Bayville Court in Norfolk, was sold by WeldenField to Fratelly Capital for $4.1 million. The waterfront community is near Naval Station Norfolk, Old Dominion University and was built in 1987. It has 36 apartments undergoing renovations to include vinyl flooring, stainless steel appliances and quartz countertops.
“The apartment market in Hampton Roads continues to exceed expectations,” G.S. (Hank) Hankins, executive vice president of Colliers, said in a statement. “The resiliency of rental product has transformed the region into one of the most sought-after investment markets in the mid-Atlantic. I don’t see the current trajectory slowing down in the foreseeable future.”
Hankins, Victoria Pickett, Charles Wentworth and Garrison Gore represented the sellers in both transactions.
More than a year into the pandemic, the commercial real estate market in Hampton Roads isn’t hurting.
“The pandemic wasn’t as bad as we feared it might be for commercial real estate,” says Larry Colorito Jr., chair of the board of directors and a senior managing director for national appraisal firm Valbridge Property Advisors.
Geoff Poston, who heads up Cushman & Wakefield | Thalhimer’s industrial brokerage team in Hampton Roads, says the area’s industrial real estate market is “hotter than it’s ever been,” with a 1.5% vacancy rate, far below the historical average of 6% to 6.5%. (For the same time period, the region’s industrial vacancy rate was 3.1% in 2019 and 2.5% in 2020.)
In the hard-hit retail sector, shopping centers with grocery stores as anchors are performing well and other retail sectors are picking up steam. “Confident consumers are doing their part to help push the retail demand in the market,” according to second-quarter regional market reports from Cushman & Wakefield | Thalhimer. The retail vacancy rate in Hampton Roads was 5.2% for the second quarter, about the same as it was pre-pandemic.
Compared with how it was prior to the pandemic, the region’s office market has been “anemic,” Poston says, but it picked up some this spring and summer as more people became vaccinated against COVID-19. While the impact of hybrid and remote work schedules is still being determined, there hasn’t been an exodus of companies from office space, he adds. For the second quarter of 2021, the region’s office vacancy rate was 9.2%, compared with 8.1% for the same period in 2020 and 8.6% in 2019.
Upcoming construction projects that will be important in the region include the two casinos under development in Norfolk and Portsmouth and the redevelopment of Military Circle Mall in Norfolk. Construction on Norfolk’s casino, alongside Harbor Park, should be completed by 2023. The planned Rivers Casino Portsmouth could open as soon as late 2022. Norfolk is weighing three proposals to redevelop Military Circle Mall into a multi-use project including an entertainment arena and office space.
Before last year’s pandemic shutdowns, 24-year-old Julia Swanson had been commuting from Newport News to her job as a civil engineer for the Virginia Beach office of Kimley-Horn, a national engineering firm headquartered in North Carolina.
It could take 35 minutes to an hour and a half traveling only one way, and Swanson says she often pulled up Google Maps to see what she could expect.
Sometimes she took the Hampton Roads Bridge-Tunnel, while other days she chose the Monitor-Merrimac Memorial Bridge-Tunnel.
The region’s average commute time in 2019 was just over 24 minutes one way, according to the U.S. Census Bureau, and it has remained fairly steady over the past decade.
While that doesn’t sound so bad, the Census also estimated that 12.4% of people living in the Virginia Beach-Norfolk-Newport News metro area have a regular round-trip commute of 45 minutes or longer. Nearly 2% of that group is on the road for 90 minutes or longer on workdays.
For four glorious months in 2020, Swanson’s commute was not an issue. Her gas costs dwindled to nothing, she walked everywhere, and she could still get all her work done. “It was really nice. I was able to work out, I was able to do stuff for my life, I was planning a wedding,” she says.
But in July 2020, Kimley-Horn asked workers to return to the office. Because she was new, Swanson decided to go back full time, instead of taking advantage of a flex option to work occasionally from home.
Old Dominion University public affairs and media relations lecturer Brendan O’Hallarn lives in Williamsburg, his wife’s hometown, and puts in a 42-mile one-way daily commute to Norfolk that sometimes takes more than an hour.
It was brutal for his first eight years on the job, driving “into the teeth of rush hour,” O’Hallarn says, until 2017 when he was able to set his own teaching schedule. He learned that a 10-minute difference in departure time could determine what he would face on the road. “I felt like traffic was in control and that was just a byproduct of where I chose to live and where I chose to work.”
Like Swanson, the pandemic shutdown was an oasis of sorts for O’Hallarn. “The difference between a commute of 9 feet from my bedroom to our office and 42 miles is significant and something I’ve been thinking about,” he says.
Many people like Swanson and O’Hallarn are now pondering what it would be like with a more flexible work schedule — this time for good.
“I think if you can do your job effectively and efficiently at home, there should be an option for every day to be [working] at home,” Swanson says. “If you can do your job effectively, completely at home, you eliminate the traffic.”
While O’Hallarn loves being on a college campus, he is less patient about traffic than he used to be and uses Zoom for meetings on days he doesn’t teach.
Although employers are deciding whether to require in-person work vs. a remote or hybrid approach, workers hope that more options will lessen their commuting headaches.
That could wind up affecting Hampton Roads’ traffic planning as well.
Road work, of course, is a near constant in the region.
Over the next 24 years, the Hampton Roads region expects to receive $30.7 billionfrom federal, state, regional and local sources to invest in the region’s transportation system. Of that, $17 billion is to maintain the existing system and $13.7 billion is to improve it. The majority of the funds for new and additional capacity construction, such as new interstate lanes, comes from the regional Hampton Roads Transportation Fund, which is funded with proceeds from regional surcharges on sales and use taxes and fuel taxes.
Among the region’s major road projects is the largest transportation infrastructure project in state history — the $3.8 billion expansion of the HRBT, which was started last October. Additionally, the Virginia Department of Transportation is widening Interstate 64 on the Peninsula and the southside, adding a two-lane tunnel to the Chesapeake Bay Bridge-Tunnel and making improvements to the I-64/I-264 interchange.
Projects such as these are guided by the Hampton Roads Long-Range Transportation Plan, the 20-year blueprint updated every five years to reflect changing conditions, such as population and employment growth, anticipated travel demand, new technology and environmental changes. The 2045 plan was just adopted this summer.
One change, says Dale Stith, a principal transportation planner for the Hampton Roads Transportation Planning Organization, was a shift toward incorporating plans for different scenarios, including sea-level rise and autonomous vehicles. But significant numbers of people working from home was not part of the group’s considerations, Stith notes.
If the Hampton Roads region sees a big change in the number of people working from home over a longer period, Stith says, traffic planners will take that into account in the future.
“So many different drivers can change how we get around and how we travel,” she notes. “This pandemic has highlighted another potential that changes travel behavior — working from home and not going to an office space.”
Fortune 500 IT services company DXC Technology is leaving Tysons for a smaller headquarters in Ashburn in November, the company announced this week.
DXC’s new 10,000-square-foot building is located at One Loudoun in Ashburn.
The new corporate headquarters will reflect the shift to a virtual-first mentality. Employees can work from anywhere and use the office as more of a place to come together. It’s designed around collaboration, executives say.
DXC started thinking about being virtual-first before the pandemic, said Chris Drumgoole, DXC’s chief operating officer.
“As I joined just under two years ago…we were really stepping back and saying, ‘Hey, what do we want the future of the company to be and how do we want to attract talent, what do we think our footprint should be environmentally, kind of like the big picture. We’re a technology company at heart and can we act like one?'” Drumgoole said Wednesday in an interview with Virginia Business.
It’s almost entirely meeting and conference space, with offices for key executive officers.
“We are reimagining our new local corporate office in Ashburn to be a modern, open, and inspiring workplace to foster both in-office and remote collaboration among colleagues, and with customers, while providing multiple activity-based spaces and state-of-the-art technology and meeting rooms,” DXC spokesman Rich Adamonis said in a statement.
DXC has several hundred employees in the greater Washington, D.C., and Northern Virginia area; some will work on site and others will have access when needed. Fewer will work there on a permanent basis.
“Over the past two years, as we looked at ways to improve employee engagement and experience, we have moved to a virtual first environment locally and globally,” Adamonis said in a statement. “Today, approximately 99% of DXC’s global workforce is equipped to work virtual first. Ours is a now largely distributed, remote workplace where our people throughout the world are enabled to work remotely and flexibly and, when needed, to access purpose-built offices—whatever best fits their needs.”
DXC has more than 130,000 employees worldwide.
The company was founded in 2017 after the merger of Computer Science Corp. and the Enterprise Services business of Hewlett Packard Enterprise Corp. In October 2020, DXC finalized the sale of its health business to Veritas Capital for $5 billion, which the company planned to use to reduce its debt by about $3.5 billion. Last week, DXC completed its refinancing actions, according to a news release from the company.
In fiscal 2021, the company had $17.7 billion in revenue.
Alpine-X LLC, a McLean-based indoor snow sports company, announced a crowdfunding campaign to open the stock to public investors.
The offering — started on crowdfunding site Republic — allows accredited and non-accredited investors to own a piece of the McLean-based company that is planning a national chain of indoor ski resorts. So far, more than 100 people — known as “snow moguls” — have signed up as investors, CEO John Emery said Wednesday afternoon, and the company has raised more than $170,000.
According to the fundraising page, the company is valued at $40 million, and its funding goal is up to $5 million, with a maximum investment per investor of $500,000. The deadline to sign up is Jan. 15, 2022.
In May, Alpine-X released details of Fairfax Peak, a $200 million indoor ski resort proposed to be built on parts of the I-95 Landfill Complex in Lorton. The 450,000-square-foot indoor snow sports facility will have a 1,700-foot ski slope and 100-plus room luxury hotel and is expected to open in 2025. Emery and Chief Financial Officer Jim Calder were previously the CEO and CFO of Great Wolf Resorts Inc.
Over the past two weeks, Alpine-X has held two community events — one in person, one on Zoom — drawing more than 450 people, Emery said. The project is still going through the zoning and approvals process with Fairfax County officials.
“The level of interest in the community is well beyond our expectation this early in the process,” Emery said. The response to the stock offering, or crowdfunding, has been good, he added. “It’s a chance for people to have an investment in something local.”
The company plans to use net proceeds from the stock offering to fund early development costs of the first resort and plans for new markets around North America.
Emery said the next two or three proposed sites across the U.S. and Canada are in the works, but did not specify where they are yet. He said each location will roll out 12-18 months after the one before it opens.
Investors will be offered perks to the resorts, such as discounts on merchandise and lift tickets, early access to events, meetings with the founders and limited-edition apparel.
Virginia Tech has launched a research institute focused on national security with presences in Blacksburg and the Washington, D.C., metro area, the university announced Tuesday.
The Virginia TechNational Security Institute aspires to become “the nation’s preeminent academic organization at the nexus of interdisciplinary research, technology, policy and talent development to advance national security,” according to a news release. Tech has long had ties to the Department of Defense, which contributed $50 million in federal funding to the university in fiscal year 2020,
The institute will bring together researchers, programs and resources from across the university and integrate student learning and research on national intelligence, defense, law enforcement, homeland security and cybersecurity, the university said. The Pamplin College of Business, the School of Public and International Affairs, the College of Liberal Arts and Human Sciences, and the Ted and Karyn Hume Center for National Security and Technology will be part of the institute’s programming, as will industry leaders Raytheon, Mitre, Lockheed Martin and Northrop Grumman, which will offer students internships.
Eric Paterson has been named the executive director of the institute. He previously served as the interim director for the Hume Center for more than two years and has led the Kevin T. Crofton Department of Aerospace and Ocean Engineering as department head for 10 years.
The Department of Defense is Virginia Tech’s largest source of federal funding, giving approximately $50 million in fiscal 2020. In January, the DOD awarded Virginia Tech a $1.5 million grant to prepare students for careers in cybersecurity through the Hume Center.
“As chairman of the Senate’s Select Committee on Intelligence, I am pleased that Virginia Tech is strategically organizing and prioritizing its national security research and workforce efforts,” U.S. Sen. Mark Warner said in a statement. “Given the university’s nearly $50 million Department of Defense research portfolio, and its strategic locations in Northern Virginia near key national intelligence agencies and the Pentagon, this purposeful focusing of Virginia Tech’s efforts in national security is welcome news. Virginia Tech’s new National Security Institute will help our nation develop new security-related technological advancements while helping train the future generations of intelligence leaders.”
The institute is the third thematic research institute at Virginia Tech. It joins Virginia Tech’s transportation institute and the Fralin Biomedical Research Institute at VTC.
Stoney Trent, previously the chief of missions for the Department of Defense’s Joint Artificial Intelligence Center and the principal adviser for the Office for Research and Innovation at Virginia Tech, led the effort to start the institute. A group of deans, institute directors and vice presidents reviewed the proposal, and the charter was approved in the spring.
Reston-based not-for-profit federal contractorNoblis has won a five-year, $263 million contract from the Department of Defense’s Defense Threat Reduction Agency to implement the Cooperative Threat Reduction program, the company announced Tuesday.
Under the contract, Noblis will deliver advisory services that will advance the CTR program’s mission to work cooperatively with partners and allies to reduce or eliminate weapons of mass destruction or threats and related materials, technologies, facilities and expertise.
“Noblis has built a strong and diverse team, including large businesses Sawdey Solutions Services, Amyx and Merrick & Co., as well as small businesses Red Gate, RMantra Solutions Inc., BB&E, TechInt Solutions, The PMC Group, Lunatek, Seventh Sense Consulting and Quantitative Scientific Solutions to help drive this priority,” Glenn Hickok, vice president of Noblis’ Defense Mission Area, said in a statement. “We look forward to working together alongside the CTR team to help advance their critical mission and protect our nation.”
DTRA, founded in 1998, enables the Department of Defense, the U.S. government and international partners to counter and deter weapons of mass destruction and emerging threats. Noblis purchased McKean Defense Group in April for an undisclosed amount and rebranded the subsidiary as Noblis MSD (mission solutions for defense) in July.
O’Farrell joined AMSG, a management and technology consulting firm with the Virginia Values Veterans (V3) certification, in 2010 as president and chief operating officer. He replaces Mike McCormick, the company’s founder.
O’Farrell has led the AMSG’s growth in federal contracts, including the Department of Veterans Affairs, Defense Health Agency, Department of Defense and several others, while helping the company scale its capabilities and business processes to address the growth in employee headcount and business partner and stakeholder relationships, according to a news release from AMSG.
“I am thrilled to be leading AMSG as the chief executive officer as we work side by side with our customers, business partners and stakeholders in the years ahead to serve their missions, continuing to build a legacy of service to our country and our communities,” O’Farrell said in a statement. “From its founding, AMSG has always been, at its core, a team of people who want to be part of something bigger than themselves – whether at work, or in our communities.”
Before joining AMSG in 2010, he held positions at KPMG Consulting, Booz Allen Hamilton, EDS and American Management Systems. He serves as the vice chair of the Armed Services Arts Partnership and previously served as chair of the U.S. Small Business Administration’s Advisory Committee on Veterans Business Affairs.
O’Farrell is a graduate of the U.S. Naval Academy and earned a master’s degree from Averett University.
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